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When the private domain grows, "filtering traffic" is more important than "cultivating users"?

author:Everybody is a product manager
In fact, there is no antagonistic relationship between "user screening" and "user cultivation", and to some extent, they are like two-wheel drives, promoting enterprises to move forward steadily on the road of private domain operation. How to understand it? Let's take a look at the combing and interpretation of this article.
When the private domain grows, "filtering traffic" is more important than "cultivating users"?

In private domain operations, I have found that many of my friends will fall into linear thinking, putting "user screening" and "user cultivation" on the opposite side.

The two seem to be in conflict, but in fact, in the private domain, there is no relationship between who is right and who is wrong or opposite, these two are more like a "husband and wife" relationship with the family.

However, the reality is that many business models have become one-size-fits-all traffic thinking in the process of operation, focusing only on "screening traffic" and ignoring "cultivating users".

And often these inadvertent neglects are also easy to make the private domain from cognition to landing, one wrong step, one wrong step, and the effort to break back is more difficult than reconstruction!

1. What is "screening" and "cultivation" in the private domain?

Some people will think that the operation of private domain traffic is a process of dynamic screening, which is to screen potential customers, select those groups who are most likely to become paying customers, and complete the contact;

There are also those who believe that there is continuous communication and education of customers who have already been attracted in the private domain to facilitate the formation of their purchase decisions.

One is a top-down funnel filter mindset, and the other is a bottom-up spiral growth mindset.

It's just that in different scenarios and user attributes, the two play different roles as different modes of operation.

When the private domain grows, "filtering traffic" is more important than "cultivating users"?

1. User screening: precise positioning and efficient conversion

It belongs to the traffic pool thinking, whether it is a public domain traffic pool or a stock user pool, and users who enter the next operation link are screened through the content or activities they are interested in, such as purchasing, trying, and participating.

Especially in the public domain, when the customer has not yet become a member of the brand's private domain, it is more important for users to screen the big wave of gold rush.

Therefore, in the user screening formula, the focus is on GMV, how many public domain resources are exchanged for the total amount of private domain realization, that is, "GMV = public domain traffic * diversion rate * conversion rate * product unit price", and the core indicators are "diversion rate" and "conversion rate".

It is generally suitable for lead-based private domain business, such as the automotive industry, the private domain of the education industry, and the study abroad and immigration business.

So does it mean that the lead-based private domain only has a screening operation thinking?

In fact, it is not correct, in order to screen out the valuable users who are interested in and have a budget among the massive users, and focus the operational resources and energy on screening users, it is necessary to complete the final transaction through intention cultivation, and then user cultivation plays a role.

When the private domain grows, "filtering traffic" is more important than "cultivating users"?

For example, the lead-based private domain is very obviously a combination of "screening" and "cultivation", which is a process of obtaining pan-traffic, screening out intended customers through layers of undertaking, and gradually cultivating them into transaction customers.

2. User cultivation: deep cultivation and continuous transformation

When customers have already entered the private domain, that is, they are already followers of the brand or have some level of contact, the focus at this time is to nurture.

For example, a 2980 yuan children's writing class with a high customer single lesson package, directly from the public domain to the private domain direct transaction, the conversion rate will not exceed 1%, but if it is through a 9.9 yuan writing class training camp to the private domain, and then through user cultivation, the final actual conversion rate can be as high as more than 10%.

This shows that in high-order products, screening is to cultivate users as a foreshadowing and improve the accuracy of operational effects.

Therefore, in the private domain user cultivation formula, the focus is on LTV, that is, the long-term value of users, LTV = total number of private domain users * per capita output value (ARPU) * number of repurchases, and more focus on the number of repurchases, that is, the value of cultivation.

When the private domain grows, "filtering traffic" is more important than "cultivating users"?

There is an additional point to be mentioned here, private domain GMV is generally used to evaluate the first-order conversion transaction that points to the first public domain to private domain, so in terms of customer unit price, it refers more to the customer unit price of products;

LTV is aimed at the multiple transactions of private domain stock users in a period of time, so the per capita customer unit price under multiple repurchases is used in the customer unit price, but the calculation of LTV is not easy, and the consistent performance accounting method needs to be adjusted, so many companies still use GMV as the accounting indicator of private domain performance.

2. How are "screening" and "cultivation" applied in the private domain?

1. Customer segmentation and personalized service

In the private domain operation, customers are stratified according to factors such as economic capacity and demand, and personalized services are provided for customers at different levels.

For example, for groups with financial means (e.g., bosses, executives, super IPs), the focus should be on nurturing because these customers have the ability to pay, and through nurturing they can increase their loyalty and purchase frequency. We can provide them with one-on-one consulting services and customized solutions;

For groups without a budget (such as young people and office workers), even if they are self-motivated, if they do not have enough financial means, then screening is more important than nurturing, and standardized services can be provided with high cost performance.

2. Set a service threshold

In order to ensure the quality of the service object, a certain service threshold can be set.

For example, the dental hospital has set up preferential teeth cleaning activities through Meituan and Dianping, and after the in-store service, it proposes deep cleaning and whitening services for the teeth cleaning service, and sets a higher cost threshold to convert people with demand and spending power.

3. Diversification of content services

In addition to high-end services, some content services with lower thresholds can also be provided to attract a wider customer base. For example, we know that we will make a set of private domain knowledge small green books, priced at 99 yuan, with a cost-effective + systematic content to attract users with different needs.

Private domain "screening" and "cultivation" complement each other to form a butterfly resonance.

When the private domain grows, "filtering traffic" is more important than "cultivating users"?

From the perspective of the closed-loop operation of the whole domain and cross-platform operation, the public domain does the screening, completes the label screening of friends in the private domain, has spending power, has trust in you, has recognition of your products and services, and has preliminary transactions, which are all accurate thresholds for screening, so it is a funnel screening operation;

The cultivation of the private domain is a professional service for the intended customers through emotional value feeding, product services, and then completing the final transaction of feeding back the public and private domains, so it is a spiral cultivation.

But if you take apart every public domain touchpoint, such as Douyin, Xiaohongshu, shelf e-commerce platforms, etc., each platform also has its own logic of "screening" and "cultivation".

For example, Douyin as an example, every time you brush a short video, the platform algorithm helps you screen through your viewing time and interactive comments on the video, and at the same time, it is also cultivating your viewing habits, so as to transform it into live broadcasts, purchases, etc., and each platform operation also has a "screening" and "cultivation" mechanism.

Conclusion: The two-wheel drive of screening and cultivation

Screening and cultivation, these two seemingly simple words, actually contain profound private domain operation wisdom and strategic layout. They are like two-wheel drives, driving enterprises to move forward steadily on the road of private domain operations.

Screening is not only a simple classification of customers, but also an art of precise positioning and efficient conversion.

It requires us to gain insight into our customers' needs and identify those who are most likely to become paying customers.

But the question is, do we have enough insight to identify those potential, high-value customers? Do you have enough strategies to attract and retain them?

Cultivation is not only a simple maintenance of customers, but also a process of deep cultivation and continuous transformation.

It requires us to continuously nurture our customers and facilitate their purchasing decisions through refined content and services. But the question is, are you actually patient enough to cultivate each customer? Do you have enough wisdom to design content that will move people's hearts?

This requires us to maintain an empty cup mentality and answer the above unfinished questions with every practice.

Author: Xiaofeng's Operational Growth; WeChat public account: know the operational thinking

This article was originally published by @晓峰的运营增长 on Everyone is a Product Manager. Reproduction without permission is prohibited.

The title image is from Unsplash and is licensed under CC0

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